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Egoli Gas gears
up for changes

July 23, 2003

By Tshepiso Mogotsi

EGOLI Gas has warned its 11 000 customers to be prepared for disruptions to their service next year while the company converts from coal-based gas to natural gas.

But once the conversion is completed, Egoli Gas expects the number of consumers using gas to increase as it is seen as an efficient source of energy. "The minister of Minerals and Energy Affairs, Phumzile Mlambo-Ngcuna said in her budget vote that natural gas is expected to rise from 1.5% to 10% of South Africa's primary needs."

The company announced a 12% price increase from this month, adding that consumers using less than 50 gigajoules a month would now pay R90 excluding vat. This was up from R79.90

Egoli Gas' move to convert to natural gas means the company has to upgrade and modify its infrastructure. These changes - totalling R9-million - will begin in February next year and take about 12 months to complete.

"There will be minimum interruptions for customers," an Egoli Gas statement said, adding that the changes will be phased in gradually. The supply network to Johannesburg consumers is to be divided into 40 sections, with one section being converted at a time. "We will then blow off the hydrogen rich gas, convert all appliances and then pump in the natural gas," said Egoli Gas CEO Quintus Joubert. "The total conversion time for each sector will be a week."

Customers such as hospitals will be a priority, the company said, adding that such places will "be without gas for a relatively short period". Of its 11 000 Egoli Gas customers, 1 700 are in the industrial and commercial sector.

Pre-conversion work is already underway.

Customers will have to make adjustments to their appliances, such as gas stoves, heaters and geysers. Some appliances will simply need a different burner nozzle, while older, pre-1960, models will have to be replaced.

The switch to natural gas is as a result of the discovery of vast reserves in Mozambique. Sasol Gas, which supplies Egoli Gas, decided to import gas from Mozambique to replace the coal in its Sasolburg plant and to supplement the coal at its Secunda plant. According to Joubert, South Africa has no gas reserve.

Sasol Gas had been producing hydrogen-rich gas in its Sasolburg and Secunda plants, but natural gas is now the preferred choice of energy worldwide. Gas from Secunda and Sasolburg had been piped to the Johannesburg Gas Works for the past 40 years, since 1964.

For more information contact Egoligas at (011) 726 1610 or email cservice@egoligas.co.za



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